Inventory shrinkage is the loss of products between point of manufacture or purchase from supplier and point of sale. Inventory shrinkage can adversely impact a company's profit margins and may result in increased costs to the company's customers. Inventory shrinkage may be due to product damage, loss, misplacement, and other causes. Inventory shrinkage may also be due to damage in transit, administrative problems such as shipping errors, warehouse discrepancies, and misplaced goods. Shrinkage may also be attributable to fraud perpetrated by manufacturers and shippers of goods. When dealing with some perishable goods, such as produce, natural spoilage may become a source of shrinkage. Other perishable goods, such as time-dated material comprising newspapers and magazines, may be subject to shrinkage due to shipping and forwarding delays. Inventory shrinkage not related to shipping, receiving, and warehousing may occur at the point of sale. A point of sale system should observe employee actions, particularly in the areas of providing discounts, markdowns, and refunds. Management oversight and auditing of these actions may reduce inventory shrinkage.